George Smith Partners Arranges $32M for Coachella Hotel Development
California’s first PACE-financed hotel project, IHG Hotel Indigo will receive $8 million in financing for energy efficiency, as well as a $24.4 million senior construction loan.
By IvyLee Rosario
IHG’s Hotel Indigo, Coachella, Calif.
George Smith Partners has arranged $32.4 million in financing for the development of an IHG Hotel Indigo, a 35-acre casitas-style resort in Coachella, Calif. The project secured a $24.4 million senior construction loan and $8 million PACE funding, making it the first hotel project ever to be financed by PACE in California.
The 250-key resort will be the closest property to the Empire Polo Club, the site of several music festivals held annually in the area. The development will include a 13,000-square-foot convention center, an 11-acre ‘playground’ for music related events, a restaurant, gym and yoga studio, a 10,000-square-foot salt water pool with summer cooling system and DJ booth, and a spa. The guestrooms will offer private entrances and en-suite bathrooms in two-, four- or six-bedroom casitas with living rooms and social areas.
The PACE financing will act as an energy loan to finance the efficient HVAC, windows, seismic strengthening, lighting and water systems. The City of Coachella also provided a $25 million tax abatement and approved Mello Roos bond financing for the project’s infrastructure.
George Smith Partners’ Principal & Co-Founder Steve Bram, Senior Vice President David Pascale Jr. and Assistant Vice President Huber Bongolan Jr. arranged the financing on behalf of the developer, Glenroy Coachella.
Image courtesy of George Smith Partners
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